Halliburton Loses Case To Drop Retiree Medical Benefits

Law360 (August 31, 2006, 12:00 AM EDT) -- Oil-field construction giant Halliburton Co. violated a merger agreement three years ago when it slashed the retiree medical benefits of a rival company it acquired, according to a ruling Wednesday from a federal appeals court.

The class action lawsuit stems from Halliburton’s 1998 acquisition of Dresser Industries Inc., a deal which created the world’s largest construction and oil-field services company with combined equity of $7.7 billion.

The ruling, from New Orleans’ U.S. Court of Appeals for the Fifth Circuit, said Halliburton broke the merger agreement by...